This iPhone is meant to accomplish two things:
- Establish the Lightning connector in the complete lineup of iOS-devices.
(The iPad 2 will be discontinued as soon as the iPad 5 is released, with the iPad 4 probably dropping to the price the iPad 2 has now - the differences in form factor will be large enough to differentiate the iPad 4 and iPad 5, so that people who want the better device will still pickup the newest model).
Apple can't keep selling the iPhone 4S when they are pushing companies to release periphals using Lightning - for Lightning to thrive, Dock Connector has to die!
- Establish the 4" screen in the full lineup of iOS-devices.
Even the cheapest iPod Touch now has the 4" display, so they also want to get rid of the 3.5" one.
These both reasons are universal and they apply to the whole world, not just China or the developing world.
People always thought the iPad Mini would be released as a competitor to the Nexus 7 and Kindle Fire tablets, selling for 249 or a maximum of 299$.
But they were wrong.
The iPad Mini wasn't Apples's "cheap tablet" - it was the smaller tablet and it's only an added bonus that it is also a bit more affordable.
The "cheap iPhone" will not be the "cheap iPhone" - it will be the Lightning+4"-display iPhone 4S, it is meant to bringt those features to the price point the iPhone 4S would take this fall - if they wouldn't replace it by the new model.
It is very likely that it will be sold for 450$ or free with a contract, maybe a tiny bit cheaper, but I doubt it will be sold for less than 399$.
It will use the same hardware as the iPod Touch 5, A5 SoC, 4" display etc, with the camera of the iPhone 4S or maybe even 5 (because that one is smaller).
It is a win-win situation:
The new iPhone will be cheaper to manufacture, so Apple will have a higher margin.
Customers will get a much better display and future-proof Lightning port.
The higher margin for Apple is important if you consider the probably higher manufacturing cost of the iPhone 5 (fitting the glass to the aluminium on the back with digital cameras, Scuffgate etc....).
I think we will from now on see the cheaper versions of iPhone models switching to plastic cases in the future, while this year Apple had the necessity to replace the iPhone 4S with a completely new device due to Lightning and display, this will also apply to the iPhone 5, no way they will sell it for 450$ due to the higher manufacturing cost.
It will be cheaper to create a new version using the case of the "cheaper iPhone" in 2014.
Ding ding ding!!!
Even if this phone is free (subsidized) you still need to pay around $100/mo. When you add up the total cost of ownership over a two year period the price differential between a "cheap" phone and an "expensive" one is not that large-- in the end they are both expensive. Until carriers start letting you purchase an iPhone without a data plan, or get it on a pay-as-you go basis, nothing will be really "budget."
The notion that Apple needs to make a cheap iPhone to compete with Samsung doesn't fly. They are all expensive at the end of the day.
Yep. This iPhone will replace the iPhone 4S in the lineup and make lightning and 4 inch screens standard across all iPhones Apple sells. It won't be cheap off contract like some people are thinking.
Sad day Apple loses that steel design...glad i picked up a 2nd 4 before it goes obsolete....give me a phone as strong as iPhone 4's steel frame...the 5 Aluminum is cheap, and the proposed plastic cheaper.
That only applies to America where you pay ridiculous prices to carriers.
I still don't really see this budget iPhone. What I've heard from Apple in the last few months is a Tim Cook constantly reminding everyone that Apple is about "making the best product" and not "market share" or "pleasing shareholders". And now this? Either this is just BS or they have a very good reason for this cheap iPhone other than gaining more market share.
In my eyes, and seemingly also in Tim Cook's eyes, Apple makes the best smartphone available: the iPhone. So I'm just wondering what this is supposed to be? I know Apple fortunately lost it's stubbornness with Steve (see iOS 7, iPad mini, tall iPhone, iWork being available on Windows machines), but this doesn't match Apple's product philosophy at all.
Yep. This iPhone will replace the iPhone 4S in the lineup and make lightning and 4 inch screens standard across all iPhones Apple sells. It won't be cheap off contract like some people are thinking.
Sad day Apple loses that steel design...glad i picked up a 2nd 4 before it goes obsolete....give me a phone as strong as iPhone 4's steel frame...the 5 Aluminum is cheap, and the proposed plastic cheaper.
The could have made the 5-design out of steel and coloured it by bluing it (wiki). it would be a much stronger coating and more resistant to scratches...
Serious?
Pro is just part of their branding, it's quite simply what they're using for their higher end products.
Going with your thinking, try and name a mobile phone that's ever been on sale and hasn't been used professionally![]()
Steve wouldn't have allowed this.
Yep. This iPhone will replace the iPhone 4S in the lineup and make lightning and 4 inch screens standard across all iPhones Apple sells. It won't be cheap off contract like some people are thinking.
Sad day Apple loses that steel design...glad i picked up a 2nd 4 before it goes obsolete....give me a phone as strong as iPhone 4's steel frame...the 5 Aluminum is cheap, and the proposed plastic cheaper.
I prefer the weight difference over how sturdy it feels though. That 4 feels like a lump by comparison.
How can a company come right out and say here is our Android version based on the budget iPhone?
Did ape already loose that fight?
He made a plastic Mac Pro so maybe he's weening himself of aluminum..?
When will people realize the iphone will never have a "snapdragon processor", and run andriod. Idiots
Will purchase for my teenage daughter. No way I'm giving her a phone entirely made of glass (4S) or the newest/latest (5). I've witnessed entirely too many drops by her to do that.
Steve wouldn't have allowed this.
Finally a iPhone made to take on android. The original iPhone has been in its own league for far too long.
"When we hold the budget iPhone in our hands, the plastic chassis does not feel cheap at all. Unlike the plastic build quality of the Samsung Galaxy phones, the plastic material used on the budget iPhone feels more sturdy."
By equating plastic and budget, Apple is trying to make a statement about Samsung's flagship phones.